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This content was subject to assurance by SGS Italia S.p.A. (14 March 2014).

Organization, environmental performance and monitoring systems

In the Group, environmental protection is managed through its Environment, Health and Safety (EHS) organization. Each company relies on its own department responsible for environment, health and safety topics, both centrally and at the plant level.

Company EHS managers are responsible for overseeing facility environmental activities and direct capital investments dedicated to specific action plans. Moreover, they are in charge of monitoring national and local legislation, as well as rules and regulations related to the environment. They ensure that senior management and plant environmental professionals understand the potential impact of new or revised policies on their operations, and also conduct compliance audits.

Meetings are held regularly to coordinate Group activities. This enables EHS managers to discuss results, share best practices, and carry out benchmark comparisons against main competitors in key areas, in order to define new actions. The Environmental Plan sets both annual and long-term targets for each company relative to the principal areas of environmental focus:atmospheric emissions, water and waste. The Plan is monitored on a monthly basis.

A dedicated IT platform ensures that environmental professionals receive regular updates and remain continuously in contact with each other. This platform provides access to training materials and documents on specific environmental areas (general and operational procedures, guidelines, reporting, manuals, etc.), as well as to the Standard Aggregation Data (SAD) system and other applications used for reporting environmental performance data of individual plants, and for comparing plants within the same operating segment.

The continuous monitoring of environmental performance indicators is the main tool available to management to determine if plants are operating properly, to plan new courses of action, to realign programs and interventions, and to set new and more challenging targets.

In 2012, Fiat Group structured the monitoring process to track environmental performance not only at the plant and corporate levels, but also across operating regions. This was a result of the Group’s new organizational structure, and was achieved by means of the SAD application(1). The data management system enables EHS managers to compare and contrast the environmental performance of standardized processes, enhancing the likelihood of internal benchmarking and ensuring that opportunities for improvement within the Group are promptly identified. For consistency with financial information and organizational structure, as well as with the data and targets published in the Group's 2012 Sustainability Report, the term “Mass-Market and Premium Brand assembly and stamping” refers to 15 assembly and stamping facilities of Fiat Group Automobiles (FGA) and 18 of Chrysler Group (CG). “Mass-Market and Premium Brand engines and transmissions” includes nine engine and transmission facilities of FGA and nine of CG, previously included in “Chrysler others." “Mass-Market and Premium Brand casting” and “Mass-Market and Premium Brand others” refer respectively to two and to four facilities of CG previously included in “Chrysler others.” “Mass-Market and Premium Brands” refers to the data of these 57 FGA and Chrysler facilities.

Like last year, this year’s Sustainability Report presents normalized environmental performance indicators as well as the absolute values directly correlated to production volumes, in order to ensure data comparability from year to year and allow the evaluation of operational trends. Due to the variety of production lines within the company (vehicles, engines, components, etc.), it is not possible to present normalized data at the Group level. In addition, within certain companies (for example, Teksid), different production lines require varied normalization parameters.

The only normalized data documented in this Report are for Mass-Market and Premium Brand assembly and stamping facilities (which account for more than half of the impacts) for energy, emissions, water and waste. For information on the performance and targets of each Group company, see the Appendix section.